Silver Prices May Rise on Weaker Dollar

Silver could trade higher this week on technical indicators and a weak dollar.

The calendar spread, the difference of the two futures contracts, between silver Sep'10 and Dec'10 continued to remain thin at -0.051, signifying that the far-month contracts closed higher than the near-month contracts. Meanwhile, the calendar spread between gold Aug'10 and Oct'10 contracts closed at -1.50 in the past week.

Karvy Global Services (www.karvyglobal.com), a subsidiary of the Karvy group (www.karvy.com), provides specialized research in asset classes including stocks, mutual funds and insurance to leading Wall Street firms.